1. RED case study and emerging themes

2. WHAT ECONOMIC ACTIONS ARE YOU INVOLVED IN? WHAT WORKS AT LOCAL SCALE? WHAT WORKS AT REGIONAL SCALE?

3. Case study 1: LM Small town municipality on the edge of the metro Stagnant economy with services challenges DBSA partnership Agricultural economic base (60%) with excellent natural resource base (7 dams, 15 mountain ranges, country lifestyle, world heritage site) Located between 4 thriving tourism regions Opportunity and gap analysis identified tourism as a quick win opportunity

4. The Cape Country Meander Eight towns, 4 tourism associations, 2 brands All struggling with visitor numbers, length of stay and spend Industry quick to identify that umbrella brand and offering would add value to every town and member Launched a collaborative platform and common brand, The Cape Country Meander at municipal level Developed product offerings

5. Tools Growth: – Branding and marketing: Municipality and industry – Infrastructure – soft (TCCM and MTB team) and hard (Steam train): Industry and Municipality Development: – Value chain mapping and enterprise development programme : Municipality – Tourism grants conditions: Municipality Inclusion: – Jobs – Track development contractors: Private sector & NGO – FET training: Local FET college

6. Regional Scale Garden Route Tourists, Businesses, surrounding municipal put pressure to move to regional scale Recognition that municipal boundary limiting and need to work across 3 municipalities – regional platform needed Political constraints so needed industry leadership Regional scale sets strategy and brokers relationships Local scale implements tools

7. Case study 2: DM Large rural district outside Nelson Mandela Bay Metro with low population densities, arid declining hinterland and growing coastal strip 9 local municipalities DBSA partnership Sluggish agri-economy Interesting capacity and opportunities for innovation

8. Facilitating innovation Strong focus on innovation systems linking industry, agriculture and HEI to generate growth and jobs. Key initiatives included: – Natural Fibre Cluster – linked to innovative beneficiation of plant and animal fibres (pineapple, agave, wool) Pineapple: (ECDC, DM, DEDAT, CSIR and Industry) Agave: from low tech community craft applications to hi-tech natural fibre composite development for motor and aeronautical industry (ECDC, CSIR, DEDAT and Industry) – Renewable energy initiative – as major new opportunity for farmers Policy and regulatory guidelines to manage major wind farm investments so as to mitigation of negative effects: (District) Wind training and research facility (BCEDA, DM, CSIR, HEIs) RE value chain exploration linked to automotive industry manufacturing and assembly strengths: (Industry) Related industries opportunities – green energy and electric cars: (HEI, TIA and Industry) – Eco-system restoration linked to green jobs and community asset creation: (Municipalities)

9. Tools Growth: – Investment promotion – EE: Formalising the innovation system Development: – Natural Fibre sector initiative – Linking SMMEs to new markets Inclusion: – Community Trusts linked to Wind farms – Green jobs

10. Regional scale Extensive exploration of cross boundary alliances and extending focus of regional action – Regional fibre cluster reconstitutes as provincial fibre cluster – Energy Initiative becomes joint NMB and Cacadu Western Eastern Cape Regional Innovation Forum Regional strategy, regional networks, local action

11. Case study 3: Province Competitiveness drive Political commitment to green economy Dedicated SPV Extensive knowledge economy High levels of innovation in smart systems

12. Green is Smart framework Smart living & workingSmart mobilitySmart eco-systemsSmart agri-productionSmart enterprise InfrastructureRules and RegulationKnowledge & InnovationCapabilitiesFinances

13. Tools Growth: – Investment promotion – Infrastructure – Business climate – Brand development Development: – Sector development – Skills training – Linking entrepreneurs to investors and markets Inclusion: – Contractor development – Green works – Green Procurement

14. Regional Scale Metropolitan Functional Region – focus of innovation system and investment attraction Western Cape – brand, green works, energy infrastructure Western, Northern, Eastern Cape – renewable energy economy Gauteng – green economic sector finance Global – investment attraction

15. PART 2: EMERGING THEMES Brainstorm

16. LEADERSHIP

17. RED leadership Vision, strategy, and agenda setting Good understanding of the economic system and your role Customer orientation that recognises business and investors and people as customers Good communication and people skills An able to broker and lead coalitions of actors from different sectors Collaboration and alignment between different tiers of government and horizontal alignment Strong on facilitating and building networks The ability to sequence and balance interventions at different scales

18. GOOD ADMINISTRATION

19. Administrative systems Efficient machinery to support the collaboration and partnerships Excellent stakeholder management Good information and knowledge management Responsiveness Good communication Good M&E and feedback loops

20. INNOVATION

21. Innovation system The market place is important Partnerships with HEI key R&D important part of innovation process Innovation doesn’t always entail giant leaps forward. Rather it is about gradual step-by-step improvements Innovation often means changing something that for the time being at least works Innovation requires a system of support to stimulate and manage flow of knowledge amongst partners

22. COLLABORATIVE COMPETITION

23. Working with competitors Identify competitors Identify gaps in the value chain Identify common agendas with competitors and how you can support each other to secure the agglomerations needed, expand the value chain Limit areas of competition

24. NETWORKS AND LINKAGES

25. Relating Local to Regional to Global RED is all about linkages into an economic system – HEI, R&D, BA, DFIs, Govt Linkages up and down: local-regional-national- regional cluster-global Reviewing the local and regional boundaries on a regular basis is also important and shifting these as market needs change

26. INSTITUTIONAL ARRANGEMENTS

27. Organising for RED No single institutional model Depends on who is part of the system and where capacity and leadership reside? Focus on what is the platform for engagement and collaboration? For example: – In TWK: Coalition of business. Model used in North America where economic councils have been created to create a ‘top table’ for co-ordination purposes. – In Cacadu: HEI and EDA similar to Europe where RDA used to lead and coordinate RED activities – In Western Cape Government has played the role of supporting the RED process similar to Asia.

28. UNDERSTANDING ROLES AND RESPONSIBILITIES

29. Role of government in supporting RED Understand the private sector – who are the key players, who are the intermediaries? Understand how to work with the private sector Create a supportive and responsive environment Facilitating partnerships and building relationships and networks Act as a catalyst not driver Ensure that there is adequate decision making authority and funding at the right level to work effectively with the private sector – no empty promises

30. Role of private sector in support RED Understand their role in the regional economy Understand the advantages of collaboration Drive the economy: Generate economic activity, income and jobs Share market information and research and work more with HEI Invest in innovation and training Partnerships and building relationships and networks

31. Role of HEI in supporting RED Understand their role in the RED Supply education and training Knowledge management Undertake R&D linked to real businesses Commercialisation of innovation Monitoring, reflection and learning partner Partnerships and building relationships and networks